Bank of Macon - Macon, MS

Bank Information

Episode Type: Suspension → Reopening
Bank Type: state
Start Date: November 2, 1907
Location: Macon, Mississippi (33.105, -88.561)

Metadata

Model: gpt-5-mini
Short Digest: 4d90d8082d92168d

Response Measures

None

Description

Article (Nov 2, 1907) reports the Bank of Macon limiting cash withdrawals to $20 per depositor per day following clearing house actions nationwide. This is a temporary restriction on cash payments (partial suspension of specie payments), implemented in response to broader clearing-house/market problems (Panic of 1907). No run or failure is reported and the limitation is described as temporary, so classified as a suspension with reopening implied.

Events (1)

1. November 2, 1907 Suspension

Cause: Macro News
Cause Details: Clearing houses in major money centers refused to ship currency against balances, prompting banks including Bank of Macon to limit cash payments to $20 per depositor per day.
Newspaper Excerpt: we deem it to the best interest of the business community to restrict the payment in currency to any one depositor to twenty dollars per day. BANK OF MACON By C. B. Dorroh, Cashier
Source: newspapers

Newspaper Articles (1)

1. November 2, 1907 Macon Beacon Macon, MS

Article from Macon Beacon, November 2, 1907

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Article Text

The Financial Situation. As will appear from the following copy of a circular letter to their depositors, our banks have followed the lead of similar financial institutions throughout the country and state: To Our Depositors: By reason of the action taken by the Clearing Houses in the different money centers. notably New York, St. Louis, New Orleans, Chicago and Memphis and in different points in the State, in refusing to ship currency due country banks against balances, we deem it to the best interest of the business community to restrict the payment in currency to any one depositor to twenty dollars per day. BANK OF MACON By C. B. Dorroh, Cashier MERCHANTS & FARMERS BANK By E. v. Yates, Cashier. BANK OF BROOKSVILLE By G. T. Heard. Pres. BANK OF SHUQUALAK M.& F.BankBy H.A. Minor,Jr,Agt This limitation on the amount any one depositor may withdraw from the bank is no sign of financial weakness. It is solely and simply a conformance to the rules of the banking business as now conducted in the United State. Checks for any amount are as good as ever; it is only cash withdrawals that are limited, and the limit is only temorary. Somewhere between ninety-five and ninety-eight per cent. of the business of the nation is done on a paper basis. Our annual volume of business is a hundred times larger than the actual money we possess. But good credits are as good as cash in the ordinary course of business, and the present action of the banks throughout the courtry is solely to preserve an equilibrium of business that is valid and good, and one only questioned in times of panic when ason and common sense are lost. The one need that the present financial condition emphasises is that of an elastic currency. A currency system that does not make cheap money and yet responds to the annual extraordinary demands of the nation's great crop movements is an imperative necessity. What the proper solution of the question remains to be solved. In the meantime, however, no business man or farmer of Noxubee need 1suffer the ast uneasiness. Whatever e al the suffering of speculators and moneydealers their withers are unwrung. They have only to bide their time. The situation in Noxubee is altogether different from what it is in the East. - of The banks assets are almost entirely based on cotton-the world's greatest instrument for bringing gold from Euin rope. It is the duty of every farmer nand business man to assist in relieveing the situation by disposing of some portion of his cotton. W